An aggressive public-sector building program is needed to give South Africa’s struggling economy a credible and immediate boost, says Ramaphosa.
For this reason, he instructed the Office for Investment and Infrastructure in the presidency to hold a symposium on sustainable infrastructure development that should immediately identify infrastructure projects of national importance.
“These should be projects that have the potential to drive economic growth, attract significant private sector investment and help achieve the government’s strategic goals,” Ramaphosa said Tuesday morning in Tuynhuys, Cape Town.
According to Ramaphosa, investments in the construction of roads, ports, railways and airports, the creation of electricity infrastructure and the construction of pipelines and cables are crucial. Anything that promotes the transport of people and goods, the development of commodities and the supply of water, energy and information is a critical driver of economic growth. At the same time, it also plays a significant role in a country’s economic well-being.
He emphasized that by 2030, infrastructure investment would have to grow to 30% to meet the National Development Plan’s economic growth targets.
Ramaphosa said the lack of infrastructure investments in South Africa led to the collapse of the infrastructure industry, the withdrawal of investments and declining investor confidence.
“This is a picture that we want to fix immediately. Removing barriers to infrastructure is essential to achieve the required growth. ”
Ramaphosa has therefore announced a set of immediate interventions to “rectify the situation”.